ACCC to order revision of NBN plan

THE competition watchdog will order the builder of the national broadband network to revise its pricing plan for wholesale customers using its infrastructure.

The Australian Competition and Consumer Commission (ACCC) on Thursday released its draft response to the special access undertaking (SAU) proposed by NBN Co Ltd last year.

It recommended five changes to NBN Co's undertaking.

Among them are access obligations and the role of the ACCC, including its ability to oversee the withdrawal and introduction of products and services.

The ACCC said many features of the SAU had merit, but it wasn't satisfied.

"The ACCC's preliminary view is that is not satisfied that the SAU meets the relevant criteria for acceptance," chair Rod Sims said.

NBN Co head of regulatory affairs Caroline Lovell said the ACCC had accepted significant parts of the SAU's design and set a path for a final undertaking.

"Their draft decision and consultation paper have been very helpful about the remaining areas where they would like further refinement to be in a position to accept the undertaking," she told AAP.

Mr Sims said it was "crucially important" the rules were right from the start for prices and arrangements, so the ACCC could resolve disputes.

"What we're trying to do is maximise the room for the parties to negotiate and they'll be able to do that if we've got the power to arbitrate," he told ABC radio.

The ACCC expects to issue a formal notice to NBN Co vary its SAU in May.

Optus vice president of corporate affairs David Epstein said the ACCC's decision was a victory for common sense.

"We can't predict the shape of technology or the thinking of NBN executives for 27 years. Such agreements need real reviews periodically," Mr Epstein said.

A Telstra spokesman said the SAU was critical for regulation of the industry.

Communications Minister Stephen Conroy said the ACCC was generally satisfied with NBN Co's plan to recoup costs related to the $37.4 billion project.

"This will enable NBN Co to recover the government's investment and earn a fair rate of return," he said.

NBN Co will roll out high-speed broadband optic fibre cable to 93 per cent of homes, schools and business across Australia by June 2021. The remaining seven per cent will access high-speed broadband through fixed wireless and satellite services.

A NOTE ABOUT RELEVANT ADVERTISING: We collect information about the content (including ads) you use across this site and use it to make both advertising and content more relevant to you on our network and other sites.